If you’re anything like most people, there will come a point in your life when you encounter a purchase you can’t afford outright. Though you may feel like you’re at the mercy of lenders at such times, consumer credit laws actually give you numerous rights that could make it easier to work with your credit. Frontier Consumer Law Group works hard to keep the public in the know about these rights, and we’ve compiled this short introduction to some important laws to help you familiarize yourself with the topic.
Defining Consumer Credit Law
To supplement and unify the many different state laws designed to protect consumers who may depend on credit, the U.S. government passed a number of bills specifically aimed at helping consumers. In addition to regulating transactions that employ credit, these rules combat unfair interest, define acceptable collection practices and control what credit report users may do with consumer data.
It would take years to go through every single consumer credit law on the books. Some key pieces of legislation you should know about are:
- The Truth in Lending Act, which requires lenders to disclose certain aspects of their lending terms,
- The Fair Debt Collection Practices Act, which limits the actions debt collectors may use to recoup outstanding debts,
- The Fair Credit Reporting Act, which attempts to ensure that credit report information is both accurate and only used for legally-valid purposes,
- The Equal Credit Opportunity Act, which prohibits lenders and businesses from discriminating against credit applicants based on factors like sex, race or religion, and
- The Fair Credit Billing Act, which mandates that consumers shouldn’t be charged or punished for billing errors committed by their creditors.
As you might expect, credit regulations are complex. Because they were written to cover a range of complicated situations, they can be difficult for the average individual to interpret, and even those with legal experience may stumble from time to time. Further complicating the issue, most locales also maintain their own credit guidelines and regulations, so consumers may face seemingly conflicting rules.
When Should I Seek Help with Consumer Credit Law?
As a general rule, any time you have a dispute about something on your credit report or you think that you’ve been the victim of unfair collection practices or misreporting, you’re best off contacting an expert. The same goes for when you think your attempts to secure credit may have been denied for illegal reasons or you feel that someone took advantage of your credit status for their own gain at your expense.
Consumer credit cases are often governed by rules that establish time limits and explicit procedural requirements for people who want to file lawsuits or initiate disputes. Cases also need to be filed and tried under the correct laws and in the appropriate court systems to avoid being dismissed. Pursuing a consultation as early as possible may maximize your chances of a favorable resolution, so schedule your free evaluation from Frontier Consumer Law Group now.